09 May 2015
one employee who was teaching in college retired on 12 may 2012.
he is going to get ammount of rs. 118554 for time bond promotion in may 2015 which was related to past period.
my question is , TDS or any other tax should be deducted on such ammount or not.
further if there any tax is require to be deducted than what is the ammount of tax.
plz I need it urgent.
09 May 2015
As the amount has become due in May 2015, itself TDS is required to be deducted on the date of payment/credit. Please obtain an Income Declaration from him for the current FY and deduct TDS accordingly. If he is not having taxable income then no TDS is required to be deducted. .
CAclubindia
